My Filipino-American friend AR, who has spent most of his adult life on the West Coast and adopted the American way, raised an eyebrow as I explained the reasoning behind the Philippines' early observance of the Yuletide season.

While the holiday season starts shortly after Thanksgiving Day in the US, here in the Philippines, we start hearing Christmas songs on the radio on the first day of September, heralding the beginning of what we call the "Ber months." Honestly, I can't recall when this four-month celebration that ends on the First Sunday of January, the Feast of the Three Kings, actually started.

Well, to each his own. And yes Virginia, it's only 18 sleeps to go before Christmas Eve, the most awaited time when we share love, hope, and gifts with our families, relatives, and friends.

While we're on the topic, allow me to share this story about Christmas. Based on historical records, Christmas was brought to the Philippines almost two centuries before the Spaniards introduced Catholicism.

It's said that in 1324, a Franciscan missionary, Father Odorico from Pordenone, Italy, survived a shipwreck and brought the joy of celebrating the birth of the Savior to St. James Parish Church in Bolinao, Pangasinan. The church has a marker stating it's the site of the first Christian mass and the first Christmas celebration in the country.

As the song goes, this most wonderful time of the year is the season of giving. Truly, the charm of the holiday season is contagious. It is within this context of sharing and giving that I mention a buzzword I heard in banking circles: "amortization moratorium" for teachers.

I'm referring to the proposal of Education Secretary Juan Edgardo "Sonny" Angara for the Chamber of Thrift Banks (CTB) to share holiday cheer with teachers by giving them a one-month moratorium on their loan amortization.

CTB loan exposure to teachers is estimated to be between P800 billion and P850 billion, with an average term of four to five years. Based on the outstanding amount, the monthly amortization could reach roughly P15 billion.

The former senator is also proposing that the Rural Banks Association of the Philippines (RBAP) grant a three-month moratorium on the monthly amortization of teachers in regions affected by the recent typhoons.

However, the moratorium could mean an opportunity lost for these banks. It will also affect their compliance with financial regulations mandated by the Bangko Sentral ng Pilipinas (BSP).

Foregoing amortization creates a cash flow situation that may impact their ability to meet the BSP's prudential minimum liquidity ratio (MLR) of 20 percent, which is expressed as a percentage of a bank's eligible stock of liquid assets to its total qualifying liabilities.

This comes after the monetary authorities, nearly three months ago, took a hard stance on the request of CTB to lower the MLR to 16 percent, on par with RBAP, to further boost lending to micro, small, and medium enterprises.

After consultations and necessary calculations, the latest I heard is that the CTB, which includes savings banks, private development banks, and stock savings and loan associations, has conditionally agreed to a one-month moratorium.

Firstly, it will not be across the board, but only in areas affected by the typhoons. Secondly, they propose a financial literacy program for teachers, knowledge they can pass on to their children and students.

 “The recommendation of the Chamber is a one month moratorium. It’s not across the board but only in areas affected by the recent typhoons and to be implemented in January,” shared an A1 but muted source

As long as the CTB member-banks can withstand this temporary dent in their cash flow, I support the financial flexibility given to our educators this season to soften the impact of the devastation caused by the recent typhoons.

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